Tag Archives: pension storm

Sewer fund in trouble because of developer fee deferrals, transfers to salaries/benefits/pensions – Constantin says we have to raise fees now to avoid big fee increase in future?

3 Dec

Chico Assistant City Manager Chris Constantin assured a group of $taff, council members, and a few members of the public that our sewer treatment plant is in great shape – in the same breath he mentioned a sewage spill at Chico airport. What?  

Constantin was walking a fine line at yesterday’s Finance Committee meeting, trying to assure us that there was no imminent danger, but we better make a plan anyway, so we don’t have any more situations like the above (very quickly mentioned) spill. Not only do we need to maintain our sewer plant, but we need to plan for future hook-ups. He says 20 percent of incorporated Chico is not on sewer, and we need to plan to accommodate those households. I don’t know whether he expects people to hook up voluntarily, or if he is urging some sort of mandate, but he does not seem to think our gazillion dollar poopy ponds will be able to handle it.

He says we need some sort of regular fee increase schedule to avoid big increases in future. 

Yeah, I know – he says this was a concern before we even discussed hooking Paradise to our system. But the council went ahead and told Paradise to “look into it.”  “Look into it” meaning tens of thousands in consulting fees, but whatever, it’s not their money.

Constantin mentioned “nitrates”, as if that is the main concern in getting people to hook up to Chico sewer.

My mom gave me these. She used to go to a lot of these meeting too.

My mom gave me these. She used to go to a lot of these meetings too.

Constantin’s daddy must have been a glass maker, cause I can see right through that guy. It is NOT about the nitrates. That’s the excuse they used to get that grant to run all those lines into certain neighborhoods in town, higher density neighborhoods where they SPECULATE nitrates would be high. They have no proof, no report, nothing that says nitrates are polluting our drinking water. They do have plenty of paperwork involving the old dry cleaning establishments and gas stations around town, but those lawsuits ended up in the turnip patch.

Again people, it’s the Pension Deficit.

I have a stack of financial reports next to me – I’m not an accountant, these spread sheets look like something you’d find in the bathroom after a KISS! concert. I’ll tell you one thing I know – parentheses around numbers mean “shortfall”, “deficit”, – FUND EMPTY and still being used. There are parentheses all over our budget reports, enclosing figures in the hundred thousands and even millions. Millions of dollar of deficit in these funds, and where did it go?

You got to follow those walnut shells People, you’re getting kinda slack. $taff has learned to spin the wheel on us, move money from one pile to another so fast we can’t keep track. In fact, I think council can barely hold on themselves.

Yes, we’re in trouble. Chico is going to become a very expensive town to live in – I know, that’s already happened with the price of homes, which carries up the price of everything else with it. We need to start thinking, not only about all the tax campaigns that are rolling at us, but who we will support for council in 2016. We’ve got a mess on that dais. We have four spend-thrift “fiscal conservatives“, and then we have three liberals who don’t seem to have a clue either. They all spend other people’s money like it grows on trees.

Sheesh! 

The other thing we need to think about is, do we want to go all the way and make Chico Taxpayers a PAC? Right now it’s a registered  website, a discussion  site, but we can go all the way and  register it a PAC – that is what we need to get any respect out of the county recorder so she’ll give us the registered  voters’ list. She says only PAC’s can have the list, that’s her rule. This whole thing is pretty stacked against “grass roots” involvement. If we want to make an impact in 2016, we might want to think about it.

 

 

 

 

John Moorlach for Governor?

24 Apr

I should get a good book, but instead I find myself sitting on the computer in the early morning, reading about public pensions and how they are destroying the economy.

You might have seen my letter in this morning’s Enterprise Record:

Letter: CARD pensions a drain on funding

Chico Enterprise-Record
Posted:   04/24/2013 12:00:00 AM PDT

At Thursday’s Chico Area Recreation and Park District board meeting, General Manager Steve Visconti said the results from the recent survey should be available at the May 16 meeting.

Regarding the survey, board chair Ed Seagle wondered, “Do we really want to push an aquatic center? Sounds like too much …”

The conversation turned to the “side fund payoff” recently made to CalPERS to cover employee pensions — $400,000. This payment, they said, had saved them a 7 percent interest penalty on their pension premiums. But it completely drained their capital projects fund and put them over budget.

Earlier in the meeting, a staffer had requested a supplemental budget allocation for more “coverage” for neighborhood parks. Apparently parks are being vandalized during broad daylight, and they need more supervision. They’ve closed the skateboard park repeatedly. These workers are part-time, and receive no benefits for cleaning up the parks and repairing damage from vandals. Subject to rules from CalPERS, they are not allowed to work over 30 hours.

The board did not approve this request.

CARD is management top-heavy. The administrators receive full benefits and pension for supervising the part-timers who do the actual work. They pay less than 10 percent of their premiums, and want us to pay the rest. They keep using “aquatic center” as a carrot, but here the board chair admits this is unrealistic and the real purpose of a bond or assessment is to pay pension premiums.

— Juanita Sumner, Chico

I signed that letter “Chico Taxpayers Association,” but editor David Little always drops that reference from my name. I don’t know what his problem is with our group – oh yeah, we opposed a tax measure that he supported, how could I forget Measure J!

I don’t have a subscription to the ER, so I look through the green screen at the titles of the letters, and then I google them. They pop up for free in the O-ville Mercury Register, what’s with that? Why do we have to pay to read a rag like the Enterprise Record when it’s all for free in the O-ville paper, right online? They don’t seem to be thinking too straight down at the ER these days.

This morning, when I saw that headline, I forgot I’d written a letter, and I thought, “oh boy! Somebody else is writing about the CARD bullshit!” So I googled it.

Wow, did I ever get a google-full.   All these articles from all over the United States about how public pensions are ruining our economy.

http://www.op-f.org/Information/ViewNews.aspx?Id=545

In Ohio, the cops and fire only pay 10 percent, their contribution is being raised to twelve percent, but the city’s contribution is being raised to 24 percent. 

http://www.pantagraph.com/news/local/government-and-politics/quinn-pension-mess-may-drain-higher-education-funding/article_a6ca8e5a-e5af-11e1-a430-0019bb2963f4.html

In Illinois, they’re cutting education funding by a few hundred million to meet their pension payments.

http://sunshinereview.org/index.php/Florida_public_pensions

Florida has the third largest retirement fund in the US, with NO EMPLOYEE CONTRIBUTIONS.

http://www.mercurynews.com/bay-area-news/ci_23071123/calpers-5-7-million-end-san-jose-council

In San Jose, CalPERS demands $5.7 million to dump city council pensions. What? 

We need to dump the collective bargaining laws.  Instead, Jerry Brown signed legislation in 2011 putting more onerous burdens on local governments in bargaining salaries and benefits, giving public employee unions more advantage in the contract talks.  

http://www.littler.com/publication-press/publication/california-governor-signs-new-collective-bargaining-law-requiring-fact

Meanwhile, the California Republicans fight among themselves – the Republican party is split in California – Jack Lee and his friends have formed a “Conservative Republican Party,” or something like that. They don’t like “RINO’s”, so they all filed along and voted for Mitt Romney in 2012. That doesn’t make sense to me.  It’s a  pissing match, and we’re all the losers. 

We can elect a new governor in 2014. I’m looking at John Moorlach, a Republican who currently serves on the Orange County Board of Supervisors. I’ve read about Moorlach before – he correctly predicted bankruptcy for Orange County, one of the first government entities to go bankrupt in the US and the largest bankruptcy in US history, back in 1994. Moorlach then took the job as Treasurer/Tax Collector and presided over the next 12 years of returning economic health for Orange County.  After that he  got over 70 percent of the vote for supervisor.  We need a guy like Moorlach to fix what Jerry Brown and his friends have done to our state. Apparently he’s thinking about running. At 58, he’s prime, and he’s got a lot of fiscal experience under his belt. 

But, it would be good to find out more about this guy, by digging into the records in Orange County. I’ll start working on that. 

This is embezzlement. “Nice people” don’t embezzle.

23 Dec

Below is one page of absolute SHIT sent to me by Chico City Manager Brian Nakamura regarding our city’s unfunded pension liability. He sent me two downloads, hundreds of pages of gunk. You’d need to lay down bread crumbs to get through this stuff. Sent to me just the other day, I feel this is just a distraction for me, to read over Christmas Holiday? And show up at a meeting scheduled very purposely for one day after Christmas.

Look over the table below – what you should get out of this is, our city council has promised these ridiculous pension packages, promised an “employer share” that is more than the “employee share”, and then promised to pay most of the “employee share” too. Also, you should see, CalPERS promised they’d fund these crazy pensions, including their own, by investing on the stock market, and it’s not working. Compare the liabilities with the assets, and you’ll see CalPERS tanking. When CalPERS tanks, Brian Nakamura and his friends want us to think we’re liable for paying these pensions. 

Why are we putting up with this? Please write to Brian Nakamura, bnakamura@ci.chico.ca.us, and tell him we want new contracts, and we’re sick of paying for these plush pensions and benefits packages, including his. Write to your new mayor, Mary Goloff too, at mgoloff@ci.chico.ca.us.  Tell her we’re sick of paying her benefits package too. 

Nakamura tries to act as though he’s here to help us out! At $212,000 a year in salary, a roughly $50,000 increase over retired city manager Dave Burkland. In fact the council’s first act after hiring Nakamura was to approve a $50-something-thousand budget increase to pay his salary – it’s in the minutes folks, look that up yourselves.  And, Burkland just joined the pension club – at 70% of his $165,000+ salary. 

Let me make something  clear to  all these other public employees that have been wishing me a “Merry Christmas” with one hand in my purse: I don’t like you. I think you are an evil person who steals from and uses less-fortunate, or “not publicly employed”,  people to feather your own nest. I have lost all my respect for the concept of “public servant.” You people are public leeches. When CalPERS crashes, I don’t care what happens to you. I don’t wish you a Merry Christmas, in fact, I hope your Christmas sucks. 

Here’s the message Public Worker: I need your phony good will like a moose needs a hat rack. When you can stand up on your hind legs like homo sapiens instead slithering along like blood-sucking annelids, I might get some respect for you. Until then, just stay the hell out of my way and do your fucking jobs. 

CALPERS ACTUARIAL VALUATION – June 30, 2011
MISCELLANEOUS PLAN OF THE CITY OF CHICO
CalPERS ID 6818749730
Page 11
Development of Accrued and Unfunded Liabilities

1. Present Value of Projected Benefits

a) active members – $78,271,949

 b) Transferred members – $5,531,540

c) Terminated Members $2,951,837

d) Members and Beneficiaries Receiving Payments – $76,270,600

e) Total – $163,025,926


2. Present Value of Future Employer Normal Costs – $13,282,215

3. Present Value of Future Employee Contributions – $9,362,722

4. Entry Age Normal Accrued Liability

a) Active Members [(1a) – (2) – (3)] – $55,627,012

b) Transferred Members (1b) – $5,531,540

c) Terminated Members (1c) – $2,951,837

d) Members and Beneficiaries Receiving Payments (1d) – $76,270,600

e) Total – $140,380,989

5. Actuarial Value of Assets (AVA) $103,493,220

6. Unfunded Accrued Liability (AVA Basis)  [(4e) – (5)] – $36,887,769

7. Funded Ratio (AVA Basis) [(5) / (4e)] – 73.7%

8. Market Value of Assets (MVA) – $93,027,024

9. Unfunded Liability (MVA Basis)  [(4e) – (8)] – $47,353,96

10. Funded Ratio (MVA Basis) [(8) / (4e)] – 66.3%